Court upholds certificate of need issued to HUMC at Pascack Valley

The New Jersey Appellate Division has ruled to uphold a certificate of need issued to Hackensack University Medical Center (HUMC) to reopen the former Pascack Valley Hospital as HackensackUMC at Pascack Valley next spring, according to hospital officials.

In September, Englewood Hospital and Medical Center, along with Valley Hospital in Ridgewood, appealed the state's issuance of a certificate of need to the Westwood hospital because they believe Bergen County is already well-served by existing non-profit hospitals.

Englewood and Valley requested that the Appellate Division direct State Health Commissioner Mary O'Dowd to revisit her issuance of a certificate of need to HackensackUMC at Pascack Valley.

O'Dowd granted the certificate of need in February to HUMC and its Texas-based partner, LHP Hospital Group, to reopen the former Pascack Valley Hospital, which closed its doors in 2007 after filing for bankruptcy. The closure, according to local residents and officials, left a gap in adequate medical coverage for the Pascack and Northern valley regions.

HUMC and local supporters waited nearly four years to reopen the facility due to several legal challenges brought forth by rival hospitals. Shortly after O'Dowd's decision, Englewood Hospital and Valley Hospital announced their intent to examine further legal options to block the reopening.

In April, a $39 million renovation project began at the 53-year-old hospital on Old Hook Road. It is due to reopen as a 128-bed, full-service hospital by Spring 2013.

The hospital will continue to operate its emergency room, which HUMC was permitted to reopen in October 2008, as well as an intensive/critical care unit, a radiology/imaging department and a medical/surgical unit.

HackensackUMC at Pascack Valley CEO Chad Melton said on Tuesday, "Today's decision reinforces the fact that the area residents need our services. With 70 percent of hospital construction complete, we are well on our way to the hospital opening which is scheduled for June 2013."

Megan Fraser, spokeswoman for Valley Hospital, could not be reached for comment Tuesday afternoon.

James Hirschhorn, Englewood Hospital's attorney, said on Tuesday, "Englewood Hospital and Medical Center is disappointed that the court failed to recognize the lack of need for a new acute care hospital in Bergen County and ignored the real economic impact that it will have on existing hospitals in an already well-served and shrinking market."

Englewood Hospital, he said, "is reviewing the decision and considering its legal options."

Stephanie Noda of Northern Valley Suburbanite contributed to this article.